_______ requires public companies not only to adopt a code of business ethics but also to set up an internal apparatus to receive,review,and solicit employee reports concerning fraud and/or ethical violations.
A)The Sarbanes-Oxley Act
B)The Whistleblower Protection Act of 1989
C)False Claims Act of 1963
D)Federal Sentencing Guidelines Act

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act was passed in response to corporate scandals such as Enron and WorldCom. It requires public companies to establish an internal system for receiving and reviewing reports of fraud or ethical violations, and to adopt a code of business ethics. This act also created the Public Company Accounting Oversight Board to oversee the accounting industry.

_______ Requires Public Companies Not Only to Adopt a Code